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Why consider parcel tracking for your e-commerce business

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E-commerce businesses face numerous challenges, but few are as critical as ensuring the timely and safe delivery of parcels to customers. The issue of lost parcels looms large, with both financial and reputational stakes at play. 

Surveys have indicated that a significant portion of online shoppers have experienced delivery issues, including lost parcels, at least once in their shopping journey. According to The Global Parcel Theft Report 2022, Worldwide, approximately one out of every 10 individuals globally reported experiencing the loss or theft of at least one package from May 2021 through April 2022, culminating in an astonishing total of 1.009 billion parcels, with the combined value reaching £33.6 billion.

This not only impacts consumer trust but also adds to the operational costs of businesses trying to rectify these mishaps. Facing these challenges, parcel tracking stands out as an essential strategy for e-commerce businesses. This blog will focus on the critical role of parcel tracking, highlighting how it helps prevent losses and thefts.

What is parcel tracking?

Parcel tracking is a system that allows both the sender and the recipient to monitor the progress of a parcel's journey from the point of dispatch to delivery. This process involves a series of scanning events at each significant transition point, enabling real-time updates on the parcel’s location. The tracking technology has evolved from simple barcode scans to sophisticated GPS tracking, offering unprecedented visibility into the shipping process.

The importance of parcel tracking

According to Statista, global retail e-commerce sales hit an impressive milestone in 2023, reaching an estimated US$5.8 trillion. Looking ahead, this figure is expected to grow by 39% over the next few years, with projections suggesting it will surpass US$8 trillion by 2027. This boom has been accompanied by an increase in parcel shipments worldwide. 

Alongside this growth, customer expectations regarding delivery services have also escalated. The Last Mile Mandate Consumer Survey conducted by FarEye in 2022 found that 85% of the 1000 American consumers would choose not to return to a retailer following a negative delivery experience.

The integration of parcel tracking systems has become a game-changer for e-commerce businesses looking to stay competitive and meet customer expectations. In an era where consumers demand transparency and immediacy, the ability to provide up-to-the-minute information on their purchases' whereabouts is invaluable. 

As the e-commerce landscape evolves, the role of sophisticated parcel tracking solutions will only become more crucial. These systems not only mitigate the risk of lost parcels but also enhance customer satisfaction, operational efficiency, and transparency, which are essential for building customer trust and loyalty with deliveries

Benefits of parcel tracking

We explore the key advantages of incorporating parcel tracking into an e-commerce strategy: 

  • Enhanced customer satisfaction: Offering customers the ability to track their parcels in real-time significantly improves the shopping experience, leading to higher satisfaction rates and repeat business.
  • Reduced lost parcels: With the implementation of tracking systems, the incidence of lost parcels decreases significantly. Even when issues arise, the detailed tracking information enables quicker resolution.
  • Operational efficiency: Parcel tracking provides vital data that can help e-commerce businesses streamline their logistics, reduce shipping times, and minimise costs.
  • Transparency and trust: Providing transparent tracking information fosters trust between the business and its customers, which is essential for brand loyalty and reputation.
  • Data insights: The data collected through parcel tracking can offer valuable insights into shipping performance, customer preferences, and potential areas for improvement, whether that’s improving last mile-delivery performance or providing more flexible pick-up options. 

Introducing DHL Express’ track & trace feature

DHL Express’ track & trace is a feature designed to enhance the delivery experience for both senders and recipients by offering real-time visibility into the whereabouts of their parcels. This system allows users to monitor their package's journey from dispatch to delivery, providing peace of mind and added control over the shipping process.

To track your shipment, enter your 10-digit number into the MyDHL+ platform. You will then receive real-time updates about your shipment's progress. These notifiable shipment statuses provided by DHL Express' tracking system offer valuable insights into the progress of a shipment, from first-mile to last-mile delivery. Here's a brief overview of each status and what it signifies:

  • Picked up: This status indicates that a DHL courier has collected the shipment, and it is now in the logistics network, marking the beginning of its journey.
  • Clearance event: This status alerts to a specific event occurring during the customs clearance process. It may require action from either the shipper or receiver to resolve potential issues and avoid delays in the shipment's progress.
  • Customs clearance: This signifies that the shipment has successfully passed through customs and has been cleared for entry into the destination country or region.
  • Out for delivery: The shipment is on the final leg of its journey, with a courier actively transporting it to the delivery address.
  • Delivered: This confirms that the shipment has reached its final destination, delivered to the address listed on the shipping label or an alternative address as agreed with DHL.
  • Exceptions: This status is used to highlight any unexpected issues that might impact the delivery timeline or process, such as weather conditions or issues with accessing the delivery location.

DHL Express’ ProView enhances the tracking experience for account holders by offering a more streamlined and efficient way to manage shipments. This service streamlines the tracking process by providing automatic notifications via email or text message to designated recipients when shipments are picked up and delivered. Benefits of DHL ProView include:

  • Time savings: Eliminate the need to track each shipment individually. Instead, monitor all your shipments by account number in real-time.
  • Enhanced efficiency: Access and download detailed shipment activity reports for business analysis and operational use.

Customised notifications: Tailor notification settings to your preferences, deciding when and which updates are sent and who should receive them, ensuring all relevant parties stay well-informed throughout the delivery process.By providing customers with real-time updates and comprehensive visibility throughout the shipping process, DHL Express not only ensures peace of mind but also empowers businesses and individuals with the information they need to plan and manage their deliveries effectively.

As the e-commerce sector continues to grow, businesses that prioritise and innovate in their tracking capabilities will be well-positioned to lead the market, ensuring their parcels – and their reputations – remain in good standing.